Credit Card Fraud Control Corporation v. MaxMind, Inc., 3-14-cv-03262 (TXND April 7, 2016, Order) (Lynn, J.)
Monday, April 11, 2016
Patent Owner’s Request for Adverse Judgment in CBM Does Not Support Attorney Fees Award in Related Litigation
The court denied defendant's motion for attorney fees under 35 U.S.C. § 285 where the patent owner filed for a cancellation of claims during CBM review while plaintiff's motion to dismiss was pending. "Defendant argues that bad faith can be inferred from Plaintiff’s decision to cease defending the [patent-in-suit] before the PTAB and [the patent owner's] request for adverse judgment to the PTAB. Defendant points to the proximity of Plaintiff’s and [the patent owner's] actions to the closing of the PTAB’s argument deadline as evidence that Plaintiff was motivated by a bad faith purpose of avoiding litigation on the merits. However, Plaintiff has presented to the Court a business explanation for terminating its defense before the PTAB -- that any potential damages would be low due to Defendant’s low revenue and the [patent’s] imminent expiration date. This explanation weighs against a finding of bad faith."